Amla

• What is the title of the law that criminalizes money laundering in the Philippines?

  RA No. 9160, Anti-Money Laundering Act of 2001
• What are the reasons for criminalizing money laundering?

  • Ensure criminals cannot enjoy proceeds of crime
  • Deprive criminals of using proceeds to further criminal acts
  • Economic and social consequences:
  • Weakening financial institutions
  • Economic distortion and instability
  • Undermining the legitimate private sector
  • Loss of tax revenue
  • Risks of international sanctions
• What is the purpose of the Anti-Money Laundering Act of 2001?

  To protect and preserve the integrity and confidentiality of bank accounts
• What is the role of the Anti-Money Laundering Council (AMLC)?

  To implement the Anti-Money Laundering Act and analyze transaction reports
• Who is the chairman of the AMLC?

  The BSP Governor
• What is required for the AMLC to act in its functions?

  The AMLC shall act unanimously
• What is the term of the Executive Director of the AMLC Secretariat?

  5 years
• What are the requisites for the Executive Director of the AMLC Secretariat?

  Must be a member of the Philippine Bar, at least 35 years old, of good moral character, and of unquestionable integrity
• What must all members of the AMLC Secretariat have served for at least 5 years in?

  Either the BSP, IC, or SEC
• What is the confidentiality requirement for the AMLC and its Secretariat?

  They must securely protect information and not reveal it even after separation from the AMLC
• What is the definition of money laundering?

  Transforming monetary proceeds from criminal activity into funds with an apparently legal source
• What are covered institutions/persons under the AMLA?

  Institutions/persons mandated to comply with reportorial requirements under the AMLA
• What are covered transactions?

  Transactions that must be reported to the AMLC if they reach the amount set by AMLA
• What are suspicious transactions?

  Transactions that must be reported to the AMLC regardless of the amounts involved if certain circumstances exist
• What are the three stages of money laundering?

  Placement, Layering, Integration
• What is one way to commit money laundering?

  Transacting monetary instruments or property that represents proceeds of unlawful activity
• What is required for the existence of unlawful activity in money laundering?

  It must refer only to crimes enumerated under the AMLA
• What does "proceeds" refer to in the context of money laundering?

  The amount derived from an unlawful activity
• What must the offender know in relation to the monetary instrument or property in money laundering?

  The offender must have knowledge that it is proceeds of an unlawful activity
• What is the obligation of covered persons regarding customer identification?

  To establish and record the true identity of clients based on official documents
• What is the duration for which records of transactions must be maintained by covered persons?

  5 years from the dates of transactions
• What must be done with records of closed accounts?

  They must be preserved for at least 5 years from the dates when they were closed
• What happens to records if a case has been filed in court?

  Records must be retained beyond the 5-year period until confirmed by the AMLC
• What are the obligations of covered persons regarding reporting transactions?

  They must report all covered and suspicious transactions to the AMLC
• What is the timing for reporting covered transaction reports (CTRs)?

  Filed within 5 working days
• What is the timing for reporting suspicious transaction reports (STRs)?

  Filed within the next working day from the occurrence
• What is a freeze order?

  A provisional remedy aimed at blocking or restraining monetary instruments related to unlawful activity
• What are the obligations of covered persons under the AMLA?

  • Customer Identification: Establish and record true identity of clients
  • Record Keeping: Maintain records for 5 years from transaction dates
  • Reporting: Report covered and suspicious transactions to AMLC
  • Compliance with Bank Inquiry Orders: Allow AMLC to inquire into deposits
  • Implementation of Freeze Order: Block monetary instruments related to unlawful activity
• What is the definition of covered persons in the context of the AMLA?

  Individuals or entities mandated to comply with the reportorial requirements under the AMLA
• Who are the covered institutions under the AMLA?

  BSP, IC, SEC, DNFBPs, casinos, real estate developers and brokers, offshore gaming operations
• What is the role of the Bangko Sentral ng Pilipinas (BSP) in the AMLA?

  It is one of the covered institutions responsible for compliance with AMLA
• What is the role of the Securities and Exchange Commission (SEC) in the AMLA?

  It is one of the covered institutions responsible for compliance with AMLA
• What is the role of the Insurance Commission (IC) in the AMLA?

  It is one of the covered institutions responsible for compliance with AMLA
• What is the role of Designated Non-Financial Businesses and Professions (DNFBPs) in the AMLA?

  They are covered institutions required to comply with AMLA
• What is the role of casinos under the AMLA?

  They are covered institutions required to comply with AMLA
• What is the role of real estate developers and brokers under the AMLA?

  They are covered institutions required to comply with AMLA
• What is the role of offshore gaming operations under the AMLA?

  They are covered institutions required to comply with AMLA
• What is the definition of a covered transaction?

  A transaction that must be reported to the AMLC if it reaches the amount set by AMLA
• What is the definition of a suspicious transaction?

  A transaction that must be reported to the AMLC regardless of the amounts involved if certain circumstances exist
• What is the definition of unlawful activities in the context of money laundering?

  Activities that may be inquired into by the AMLC when committed in connection with money laundering